Microsoft - Discrimination at the Workplace
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Case Details:
Case Code : HROB011
Case Length : 11 Pages
Period : 1997 - 2001
Pub Date : 2001
Teaching Note : Availabl0e
Organization : Microsoft Corporation
Industry : Information Technology
Countries : USA
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Charges of Discrimination Contd...
Reacting to increasing media coverage of lawsuits filed against it, Microsoft
claimed that the company did not tolerate employee discrimination and was
focused on offering unbiased treatment to employees and promoting women and
members of minority groups in its organization. However, few people bought their
story. Willie Gray, one of the leading attorneys dealing in discrimination
suits, argued that Microsoft showed plantation attitude when it came to dealing
with African-American workers. Gray remarked that in 1999, only 2.6% of the
Microsoft's employees and only 1.6% of its managers were Black.
Throughout the 1980s and early 1990s, Microsoft remained in the news for
discriminating against women and African-Americans.
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Many cases of both sexual harassment and discrimination against female
employees were reported. Though the issue of racial discrimination arose in
the late 1990s, it was only in 2000 that the employees initiated legal
proceedings against Microsoft, demanding equality and justice.
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Background Note
William H. Gates (Bill Gates), along with his friend Paul Allen,
established Microsoft Corporation in 1975. Bill Gates initially
focused on software instead of hardware. Over the next two decades,
Microsoft emerged as one of the richest and most influential
companies in the world. In 1998, the company became the world's most
highly valued company, reporting a market capitalization value of
$466 billion.
Microsoft is engaged in developing, manufacturing, licensing and
supporting an extensive range of software products and services for
a multitude of computing devices. |
Microsoft sells software to over a 180 million people. Its
products are available in over 30 languages and are used in more than 50
countries. The company is also involved in developing highly advanced, robust
technologies for next generation software products. Microsoft's success was
attributed to (among other things) its effective recruitment and employee
retention strategies. Microsoft had always attempted to attract the best talent.
According to a press report, "Microsoft seeks a particular type of smart person,
one who is pragmatically inclined, verbally agile and able to respond deftly
when challenged." Because of its efficient performance appraisal system and work
culture Microsoft had a very low employee turnover rate. Microsoft gave
incentives to employees on the basis of their performance appraisal. Employees
underwent a performance review every year...
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